Enforcement, Penalties, and Prohibitions

Utah Code tit. 4, ch. 4-7, pt. 4-7-P2

in effect

Utah Code § 4-7-201 Department authority -- Examination and investigation of transactions -- Notice of agency action upon probable cause -- Settlement of disputes -- Cease and desist order -- Enforcement -- Review.

4-7-201. Department authority -- Examination and investigation of transactions -- Notice of agency action upon probable cause -- Settlement of disputes -- Cease and desist order -- Enforcement -- Review. (1) For the purpose of enforcing this chapter the department may, upon the department's own motion, or shall, upon the verified complaint of an interested consignor, investigate, examine, or inspect any transaction involving: (a) the solicitation, receipt, sale, or attempted sale of livestock by a dealer or person assuming to act as a dealer; (b) the failure to make a correct account of sales; (c) the intentional making of a false statement about market conditions or the condition or quantity of livestock consigned; (d) the failure to remit payment in a timely manner to the consignor as required by contract or by this chapter; (e) any other consignment transaction alleged to have resulted in damage to the consignor; or (f) any dealer or agent with an unsatisfied judgment by a civil court related to an activity for which licensing is required by this chapter. (2) (a) After investigation upon the department's own motion, if the department determines that probable cause exists to believe that a dealer has engaged, or is engaging, in acts that violate this chapter, the department shall issue a notice of agency action. (b) (i) Upon the receipt of a verified complaint, the department shall undertake to effect a settlement between the consignor and the dealer. (ii) If a settlement cannot be effected, the department shall treat the verified complaint as a request for agency action. (3) (a) In a hearing upon a verified complaint, if the commissioner, or hearing officer designated by the commissioner, determines by a preponderance of the evidence that the person complained of has violated this chapter and that the violation has resulted in damage to the complainant, the commissioner or officer shall: (i) prepare written findings of fact detailing the findings and fixing the amount of damage suffered; and (ii) order the defendant to pay damages. (b) In a hearing initiated upon the department's own motion, if the commissioner or hearing officer determines by a preponderance of the evidence that the person complained of by the department has engaged, or is engaging, in acts that violate this chapter, the commissioner or officer shall prepare written findings of fact and an order requiring the person to cease and desist from the activity. (4) The department may petition any court having jurisdiction in the county where the action complained of occurred to enforce the department's order. (5) Any dealer aggrieved by an order issued under this section may obtain judicial review of the order. (6) (a) The department may not act upon a verified complaint submitted to the department more than six months after the consignor allegedly suffered damage. (b) A livestock claim shall be made in writing within 120 days from the date of the transaction. Renumbered and Amended by Chapter 345, 2017 General Session

Utah Code § 4-7-202 Sale of livestock -- Prima facie evidence of fraud.

4-7-202. Sale of livestock -- Prima facie evidence of fraud. The following constitutes prima facie evidence of fraud in the sale of livestock: (1) any sale of livestock at less than market price by a dealer to a person with whom the dealer has a financial interest; or (2) any sale out of which the dealer receives part of the sale price other than the agreed commission or other agreed charges. Renumbered and Amended by Chapter 345, 2017 General Session

Utah Code § 4-7-203 Suspension or revocation -- Grounds -- Notice to producers.

4-7-203. Suspension or revocation -- Grounds -- Notice to producers. (1) The department may suspend or revoke the license of and suspend or refuse all department services to a person licensed under this chapter if the department finds that the licensee has: (a) provided false information when making an application for a license; (b) failed to comply with this chapter or rules adopted under this chapter; or (c) engaged in any willful conduct that is detrimental to a producer. (2) If a license is revoked pursuant to a hearing and the decision is final, or an injunction is imposed by a civil court, the department shall, by publication in a newspaper of general circulation in the area, notify producers of livestock in the area in which the licensee operated that the license has been revoked or a department action has been taken. Renumbered and Amended by Chapter 345, 2017 General Session

Utah Code § 4-7-204 Suspension of license -- Opportunity for hearing.

4-7-204. Suspension of license -- Opportunity for hearing. (1) The department may suspend a license immediately if: (a) an emergency exists that presents a clear and present danger to the public health; (b) an inspection or sampling is refused; or (c) the licensee's bond has been revoked or cancelled. (2) The department shall immediately notify the person of the suspension in writing and provide an opportunity for hearing without delay. Renumbered and Amended by Chapter 345, 2017 General Session

Utah Code § 4-7-205 Prohibited acts.

4-7-205. Prohibited acts. (1) A person licensed under this chapter may not: (a) make false charges incident to the sale of livestock; (b) willfully fail to comply with the requirements of Section 4-7-109 or 4-7-110; (c) fail to file a schedule of commissions and charges; (d) reconsign livestock without the consent of the producer-consignor for the purpose of charging more than one commission; (e) make any false statement to the detriment of the producer regarding current market conditions for livestock or about the condition or quantity of the livestock consigned for the account of the producer; (f) engage in fraud or misrepresentation in the procurement or attempted procurement of a license; or (g) act as a dealer or agent and, with intent to defraud, make, draw, utter, or deliver any check, draft, or order for the payment of money from any bank or other depository to the owner for the purchase price of livestock, when at the time of the making, drawing, uttering, or delivery the maker or drawer does not have sufficient funds in or credit with the bank or other depository for the payment of the check, draft, or order in full upon its presentation. (2) (a) The making, drawing, uttering, or delivery of a check, draft, or order in the circumstances specified in this section shall be evidence of an intent to defraud. (b) As used in this section, "credit" means an arrangement or understanding with the bank or depository for the payment of the check, draft, or order. Renumbered and Amended by Chapter 345, 2017 General Session

Source: Utah Office of Legislative Research and General Counsel (le.utah.gov)URL: https://le.utah.gov/xcode/Title4/Chapter7/4-7-P2.html?v=C4-7-P2_2017050920170701Fetched: 10/26/2026